SAN ANTONIO, TX December, 6 2004 – Alamo Iron Works, a leading distributor of industrial MRO supplies, steel products, and fabrication services, today announced that it has formed a joint venture agreement with MagRabbit, an award-winning minority-owned third-party logistics provider. The agreement will enable Alamo Iron Works and MagRabbit to leverage their combined expertise and competencies to capture new business opportunities in the industrial MRO and steel supply markets.

The joint venture, MagRabbit-AIW, LLC, has been certified by the Central and South Texas Minority Business Council (CSTMBC) as a minority business enterprise (MBE). MagRabbit-AIW, LLC will market a full range of domestic and international MRO and steel solutions, as well as other value-added supply chain and IT solutions.

MagRabbit has received numerous accolades for its excellence including the “2001 Minority Supplier of the Year” Award from the National Minority Supplier Development Council (NMSDC), the SBA’s (Small Business Administration) “2002 Administrator’s Award for Excellence,” Dell Corporation’s “2001 Diverse Supplier of the Year” Award, and the Central and South Texas Minority Business Council’s “2004 Minority Business Enterprise of Year.”

Tony Koch, President of Alamo Iron Works, remarked, "Tommy Hodinh and his team have built a tremendous organization uniquely focused on delivering value to their customers. Tommy’s forward thinking and emphasis on providing superior customer service has enabled the company to successfully differentiate itself from its competitors. MagRabbit has also developed a well-deserved reputation as a company committed to tailoring customized logistics solutions, to include JIT, kitting, and point-of-use, that will be of significant value to our customers as we provide value added services to complement our product offerings.”

Tommy Hodinh, Chairman and CEO of MagRabbit, stated, “We are extremely excited about forging a joint venture with Alamo Iron Works and we appreciate Tony’s passion and support as we work to offer our clients best-in-class products and services. Alamo Iron Works has a compelling MRO distribution network in place and our collective, complementary expertise will add tremendous value to our customers. Our joint venture, MagRabbit-AIW, LLC, will be laser focused on providing high-quality products and services and delivering tangible value to our customers.”

Koch closed: “MagRabbit-AIW, LLC is strategically positioned to provide unequalled products and services to our customers, with multi-million dollar inventories and a dedicated fleet to meet unique supply chain requirements. MagRabbit and Alamo Iron Works both have long traditions of providing creative solutions to meet customer’s challenges. The combination of our quality focus, dependability, and experience will continue to enable us to build customer confidence and satisfaction.”

About MagRabbit, Inc.

MagRabbit, Inc. is a third-party logistics (3PL) provider specializing in customized transportation, distribution, freight forwarding, and supply chain management services. MagRabbit increases the value of its customer’s enterprises through custom and highly complex logistics solutions. MagRabbit has the systems, technology, and 15 years of domain expertise to deliver exceptionally high levels of service and accuracy to its customers on time. Companies such Dell Corporation, DaimlerChrysler, General Motors, Ford Motor Company, and Buffalo Technology trust MagRabbit for their mission critical logistics needs.

About Alamo Iron Works

Since 1875 Alamo Iron Works (AIW) has been known as the Industrial General Store of Texas. Now a major supply network, over 70% of AIW's business is in the distribution of approximately 40,000 different industrial supplies, including paint and coatings, safety products, cutting tools, hand tools, power tools, material handling, farm & ranch equipment, pumps, pipe, valves & fittings, automotive supplies and equipment, as well as steel and rebar. The remainder of Alamo’s business is derived from the steel service center, steel fabrication divisions, and the installation and repair of equipment. The main office and Supply Center of Alamo Iron Works is located on 24 acres at 943 SBC Center Parkway in San Antonio, Texas. Total floor area of these buildings is approximately 450,000 square feet. Alamo Iron Works also has branch locations in Corpus Christi, Brownsville, San Angelo, El Paso, and Houston.